OREANDA-NEWS. Member of the Volkswagen Group Spanish brand SEAT from January 1st, 2015 stops sales in Russia. In the "Volkswagen Group Rus" it was explained by "the reduction of segments", in which the brand was represented (budget small cars), general economic conditions and currency fluctuations. According to sources, the company is already reducing its dealer network and staff. SEAT assured that it will fulfill obligations to dealers, employees and customers, there won't be the problems with the service. To get rid of stocks, SEAT will give "a significant discount," say sources in the auto market. From October at SEAT dealerships there is already a discount of 60 thousand rubles for the model Ibiza and Leon, wrote the newspaper "Kommersant".

Recall, this is the fourth unsuccessful attempt of SEAT to enter the Russian market. Since 2012, car sales of Spanish brand in Russia are made by "Volkswagen Group Rus". In the Russian market there are three models - SEAT Ibiza, Leon (both from 600-650 thousand rubles) and minivan Alhambra (from 1.5 million Rubles). In 2013, sales of SEAT grew against the falling market (by 35% to 3.4 thousand vehicles), but in January-October of 2014 they fell by 57% to 1.3 thousand cars. Share of SEAT in the Russian market is only 0.1%.

According to dealers, SEAT, the share of which in the Russian market is very small, is unprofitable to import because of the devaluation of the ruble, and the company has no plans to invest in the localization. Termination of SEAT sales in Russia are explained by the market participants not by the general stagnation of the market, but the lack of competitive models and inefficient advertising policy. Dealers hoped for model SEAT Toledo, but it has not appeared on the Russian market.

According to market participants, other brands without localized production could minimize sales in Russia, with the conservative policy of the importer and poorly developed dealer network. In August, the American Dodge (the part of the Chrysler, sales of which were tens of units in Russia) has already stopped sales in Russia. Sources suggest that also sales of Fiat (in January-October they fell by 3% to 6.1 thousand units), imported models Citroen (by 32% to 16.3 thousand units) and Peugeot (by 39 % to 17.5 thousand units) could be also stopped.